In Royweb Co., beginning capital balances on January 1, 2017, are Ken Rory £20,000 and Diane Webb £18,000. During the year, drawings were Rory £7,000 and Webb £3,000. Net income was £29,000, and the partners share income equally.
Instructions
(a) Prepare the partners' capital statement for the year.
(b) Prepare the equity section of the statement of financial position at December 31, 2017.